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What Length Mortgage Is Right For You?You've found the home that is right for you, and now you need to do the same thing for a mortgage. There are several options for people out there, each one designed for a different type of buyer. You need to ask yourself several questions when searching for a mortgage type. 1. How long am I planning on being in this home? 2. What monthly payment can I afford? 3. What type of payment fits into my long-term financial plan? 4. What type offers me the best rate for my situation? Since most people like the security of knowing what their payments will be long term, many will get a 15 yr. Or a 30 yr. Fixed rate loan. But this may not be what would work best for you. Below are some things to consider when making your selection: Fixed Rate Loan- This works well for those with a steady income who like the stability of knowing what their monthly payments will be. If you have little or no down payment, a 30 yr. Fixed Rate loan is probably the best one for you. If you have a larger down payment and can afford a higher monthly payment you can opt for a Fixed Rate loan for 15 yrs., or even in lengths of 10, 20, or 25 years. Some lenders offer 40-year mortgages, which would allow some people to buy a larger house without the larger payment. The longer the loan terms, the more interest you end up paying. You always have an option to pay additional principal as the loan progresses. This would decrease the amount of interest you pay on the loan long term, and shorten the length of the loan. Variable Rate Loan- Most Variable Rate loans start out with a fixed rate for a specified length of time and change to a variable rate loan. These work well when people expect their income to increase dramatically after a few years, or those planning to move from the house after a few years. The most common loan lengths are 3/1, 5/1, 7/1, and 10/1. The first number is the length of time in years the loan is at a fixed rate. The second number is the length of time in years that it would adjust in after the fixed rate period. There is a cap on the amount of percentage points it can go up after the fixed rate period. It is usually 2% a year. With these types of loans you may pay more principal and less interest in the long run. Biweekly Fixed Rate Loan- This loan type works similar to the fixed rate loan, but essentially is a guarantee that you will put extra money toward your principal. You pay half your payment every two weeks instead of monthly. You end up making 13 payments a year instead of twelve, thereby reducing your principal early and reducing the length of your loan. With some careful consideration on your part you will be picking the perfect loan for you in no time at all. Genesis Font is an SEO and Developer for Mortgage and Loan Officer Websites. We also offer Quality Web Hosting Services.
Today's refinance rates move higher – August 8, 2022 Bankrate.com Mortgage Refinance Volume Plunges 80% -- but Could You Benefit From a Refinance Today? The Motley Fool Refinance Closing: An Overview Zing! Blog by Quicken Loans Savings window open: 3 key mortgage refinance rates tumble | July 29, 2022 FOX 11 Los Angeles United Wholesale Mortgage saw $215 million net income amid slowing market Detroit Free Press Everything You Need to Know About VA Loan Refinancing U.S News & World Report Money I Have an 808 Credit Score but It Took 3 Tries to Refinance My House Business Insider INVESTORS TITLE CO – 10-Q – Management's Discussion and Analysis of Financial Condition and Results of Operations Insurance News Net Co-Signing a Mortgage: How It Works, Requirements, Pros and Cons Business Insider FLAGSTAR BANCORP INC Management's Discussion and Analysis of Financial Condition and Results of Operations (form 10-Q) Marketscreener.com Trends in Mortgage Refinancing Activity Freddie Mac Today’s best mortgage refinance deal? 15-year rates are the lowest available | June 6, 2022 Fox Business Refinance Calculator Bankrate.com Mortgage refinancing: Should you do it? Mortgage Professional When to Refinance Your Mortgage Business Insider Today’s 20-, 30-year mortgage refinance rates nosedive to lowest levels this week | June 16, 2022 Fox Business Today's best mortgage refinance deal? 20-year rates hold steady, other terms rise | Feb. 7, 2022 Fox Business Today's mortgage refinance rates: 3 key rates sink to money-saving levels | Jan. 24, 2022 Fox Business Home refinance options for 2022 The Mortgage Reports Still time to lock in lower rates: 30-year mortgage refinance rates edge down | March 4, 2022 Fox Business Today’s 15-, 10-year mortgage refinance rates edge up, but remain at money-saving levels | Feb. 24, 2022 Fox Business Today’s 30-year mortgage refinance rates hold, but for how much longer? | April 4, 2022 Fox Business 30-Year Mortgage Rates Break 4% Threshold Bankrate.com Today’s mortgage refinance rates hold steady, but are more increases on the way? | Feb. 16, 2022 Fox Business Today's 30-year mortgage refinance rates hold steady, 3 others inch back up | March 25, 2022 Fox Business Number of homeowners that could benefit from mortgage refinancing drops to 2 million, Black Knight says Fox Business How to refinance your mortgage, a step-by-step guide The Washington Post Savings window opens wider: 30-year mortgage refinance rates dip again | March 31, 2022 Fox Business Today’s mortgage refinance rates: Steady shorter terms offer best savings chances | March 17, 2022 Fox Business 20-year mortgage refinance rates fall, giving buyers savings opportunity | March 16, 2022 Fox Business Today’s 20-year mortgage refinance rates dip below rising 30-year rates | April 8, 2022 Fox Business Can You Refinance a Reverse Mortgage? Investopedia Australia's CBA Posts 11% Profit Jump but Warns of Housing Headwinds - U.S News & World Report Money Australia's CBA Posts 11% Profit Jump but Warns of Housing Headwinds U.S News & World Report Money Is today the day to refinance? Mortgage refinance rates hold steady for 3 key rates | Jan. 28, 2022 Fox Business Today's Mortgage, Refinance Rates: August 8, 2022 | Rates Are Low, but Remain Volatile Business Insider
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